Abstract
Foreign investment in health services has grown over the past decade, taking a variety of forms and involving a growing number of developed and developing countries. Recent data confirms that developed countries remain the leading sources for investment in health and social activities, as measured by the number of overseas affiliates. This article provides an overview of trends in foreign financing of healthcare services and the characteristics of these investment flows in terms of the key source and recipient countries and major firms providing health services across borders. It also outlines the regulatory environment affecting foreign investment in health services. The article discusses the benefits and concerns associated with international capital flows in health services and the perceived or realized impact of these flows on host economies and their health systems. It concludes with policy suggestions to facilitate international investment in health services and to effectively address the associated equity, efficiency, and quality considerations.
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